Sembcorp, Gayatri looks to double Andhra power plant capacity

Sembcorp Gayatri Power Complex, which houses 2,640 MW thermal projects in Krishnapatnam in Andhra Pradesh is mulling to double capacity at an investment of up to Rs 12,000 crore, a senior official said.PTI | March 22, 2016, 06:27 IST

HYDERABAD: Sembcorp Gayatri Power Complex, which houses 2,640 MW thermal projects in Krishnapatnam in Andhra Pradesh is mulling to double capacity at an investment of up to Rs 12,000 crore, a senior official said today.

"We have enough land to double the capacity. In the next five years, we will probably invest another Rs 10,000 to Rs 12,000 crore to double the capacity depending on market conditions," TV Sandeep Kumar Reddy, Managing Director of Gayatri Projects told reporters here.

"We have the capacity to expand. All the infrastructure is ready. We need some clarity on issues such as coal bidding and Power Purchase Agreements," he added.

The official said the existing land of 2,600 acres in which the power complex is located is sufficient for expansion.

"The complex houses two 1,320 MW supercritical coal-fired power plants - Thermal Powertech Corporation India (TPCIL), first power plant successfully completed and commenced full commercial operation in September 2015, while NCC Power Projects, the second plant is expected to be fully operational in 2016," he explained.

TPCIL has secured over 85 percent of its net total generating capacity under long-term power purchase agreements - 570 MW agreement with Telangana Power Distribution Companies and 500 MW agreement with Power Distribution Companies of Andhra Pradesh and Telangana.

Singapore-based Sembcorp holds about 70 per cent on both the power projects while the rest is held by Gayatri.

Reddy added the order book of Gayatri stands at Rs 11,000 crore including Rs 6,000 crore worth road projects.